Bismarck weekly tribune., 1887-02-04

,.lsa&, The chances of win
ming in the schemes of this company are
thoroughly understood by its patrons. 1t
would be a waste of time and of space to
analyze the schemes; the only questions
that interest the lottery ticket holder are:
Is the scheme honestly drawn? and, is the
G ompany financially responsible? To sat-
lsfy itself Oh these points a member of the
Chronicle staff was sent from San Francis
co to this city to Investigate the affairs of
the Louisiana State Lottery Company, and
to witness the extraordinary drawing
which took place yesterday.
LEGALITY OF THE LOTTERY.
The first duty of the Chronicle reporter
was to ascertain the legal status of the
concern. "Does it have legal existence ?"
was the question he put to leading men,
Der of the Louisiana Bar, and a gentleman
who will soon occupy high judicial posi-
ton in the State.
''Of course it has," he replied very
promptly. ats franchise is now unques-
toned in law. In 1853 the Legislature of
Louisiana enacted a law entitled AN act
to increase the revenues of the State and to
authorize the incorporation of The Louisi-
ana State Lottery Company, and to repeal
certain acts now in force.' This act pro-
vided that no foreign lottery tickets should
be sold within the State, and gave to cer-
tain citizens named authority to organize
corporation to protect the State against
the great losses heretofore incurred in
sending large amounts of money TO foreign
countries for the purchase of lottery tick
cts. to establish solvent aud reliable home
institution and to insure perfect fairness
and justice in the distribution of prizes.'
The capital stock was fixed at 81, 100000, in
shares of $100 each. There were provisions
for Board Of Directors and all the corpo-
rate rights to sue and to be sued, etc. The
duration of the lottery was to be for twen-
to the educational fund, and was required
to give bonds to carry out these provisions.
The Constitution of Louisiana, adopted in
1879, touches the lottery question as fol-
lows:
ARTICLE 167 The General Assembly shall have
authority TO grant lottery charters or privileges
provided, each charter or privilege shall pay not
less than 900 per annum in money into the
treasury of the State; and provided further, that
all charters shall cease and expire on the lst of
prohibited in the State. ~
be paid by The Louisiana State Lottery Company,
according to the provisions of Its charter granted
in the year 1868, shall belong to the Charity Hos
ptal of New Orleans, and the charter of said COM
pany is recognized as a contract binding on the
State for the period therein specified, except its
monopoly clause, which is hereby abrogated, and
all laws contrary to the provisions of this article
are hereby declared null and void; provided, said
company shall file written renun citation of all
its monopoly features in the Office of the Score
tary of State within sixty days after the ratifca-
tion of this Constitution
cepted 10y the Louisiana Lottery company;
indeed, this constitutional provision guar
anteed the Company exactly what it was
cOntending it pOSsesSed-a contract with
the State OF Louisiana. This position has
been further strengthened by decision of
the United States Supreme Court, rendred
within few days. An effort was made to
tax the lottery company under an act tax
ing stockholders in corporations for State
and city purposes. This tax the Company
resisted, on behalf of it's shareholders, on
the plea that the Company had valid and
and bona tide contract with the State,
and that it committed tho whole tax by the
payment of $4,000 year to the Charity
Hospital. This plea was supported by the
United States Supreme Court, which holds
that the lottery company does have a legal
and binding contract with the State of
Louisiana, and that any attempt to eXtOrt
from it sum in excess of $4,000 is illegal.
This decision, however, carries with it a
benefit to the Louisiana Lottery something
more important to the managers than the
mere saving of dollars and cents-recogni-
ton by the laws of Louisiana and of the
nation as a corporation engaged in a legiti-
mate business under a legal and valid
charter. This recognition of the validity
of contract gives the Louisiana State Lot
terry what no lottery has ever had in Amer
lea since the days of Washington and JEFF
ferson, when the Presidents were author
lied to draw lotteries for the benefit of the
national capital-a legal existence for the
period of it's charter.
A RECOGNIZED INSTITUTION.
The legal status of The Louisiana State
Lottery is thus clearly and indisputably
established. One cannot long remain in
New Orleans without discovering that it is
one of the recognized Institutions Of the
city. and one that possesses the fullest con-
fidence Of the people. Whatever the rest
of the world may think of lotteries, New
Orleans believes in them. Interviews with
the Presidents Of the leading Banks, mer
chants and planters, not only proved this,
but the further fact that these men had
faith in the honesty Of the management of
the drawing and the perfect sOlvency of the
institution. Indeed, it is generally asserted
that the Louisiana Lottery is stronger than
any bank in the South, and all the banks
cash its prizes at sight. Its stock, which is
regularly QuOGcu OH ClhIlSc. SCllS dG SoO0U
Its par value is 800. The management
comprises the foremost citizens of Louisi-
ana, financially and socially considered
men who are Open-handed, broad and
liberal.
G. Kohn, President of the Union National
Bank, said: Il am not interested in lotteries
in any way, and am opposed to gambling
in any form or guise it may take. I do not
think gambling should be encouraged, but
if ever an institution deserved the friend
ship of people, The Louisiana State Lot
tery deserves the friendship of the people
of this section. 1t has done, and is con-
stantly doing, great work for humanity.
No one can imagine the far-reaching
charity of that institution. Its vaults are
always open to the poor and the needy. 1t
is rich corporation, perfectly responsible.
and conducted with the strictest integrity"
j. II. Oglesby, President of the Louisiana
National Bank, a conservative, careful
business man. who does not believe in lot
teries. said: ''The company is thoroughly
responsible, is carefully and honestly con-
ducted."
A. Baldwin. Presidento of the New Orleans
National Bank. said that the managers of
the lottery were thoroughly honest men,
responsible and charitable almost to a
fault.
P.O. Fazende, of the banking house of
Fazende & SeiXas, said: "There is no